Following a momentous “Crypto Week” in Congress, all eyes will be on the White House this week, which is set to receive a comprehensive report to the President led by the Treasury Department recommending regulatory and legislative proposals that advance digital asset and blockchain policy, required under the January 23, 2025 Executive Order on Strengthening American Leadership in Digital Financial Technology.

During its proclaimed “Crypto Week,” the House passed a watershed stablecoin bill into law and sent comprehensive market structure legislation and CBDC prohibitions to the Senate. But it was not without its share of volatility.

House Freedom Caucus conservatives, led by Reps. Marjorie Taylor Greene (R-GA), Chip Roy (R-TX), and Andy Biggs (R-AZ), announced their opposition to the Republican strategy to advance the three bills minutes before the first procedural vote. Among their complaints was that the bills required prohibitions against a Federal Reserve central bank digital currency (despite anti-CBDC legislation being included in the three bills under consideration), demands to consolidate the bills rather than vote separately, and overall frustration with the expectation the House would continue to be jammed by the Senate.

The conservatives helped vote down the first procedural vote, requiring President Trump to intervene and strike a soft deal for their support. During the next round of procedural votes, the deal fell apart and triggered the longest voting session in House history (over nine hours!). An agreement was finally reached when Republican leadership promised to include the Anti-CBDC Surveillance Act within the annual must-pass National Defense Authorization Act (NDAA); its support in the Senate is unlikely.

When the bills were finally passed, the Senate’s GENIUS Act stablecoin bill was approved by a massively bipartisan 308-122 vote, with 206 Republicans and 102 Democrats supporting. The House’s market structure legislation, the CLARITY Act, was approved in a strong bipartisan vote of 294-134, with 216 Republicans and 78 Democrats voting yes. The Anti-CBDC Surveillance State Act to prohibit the Federal Reserve from considering a U.S. central bank digital currency passed by a vote of 219–210, with two Democrats joining Republicans in support.

The GENIUS Act was signed into law by President Trump in a White House signing ceremony on July 18. The CLARITY Act heads to the Senate, which is expected to unveil its own market structure proposal in the coming days.

Meanwhile, the Senate Agriculture Committee held a hearing to consider digital asset market structure, while the House Ways and Means Committee held the first Congressional hearing on digital asset tax policy. Reps. Max Miller (R-OH) and Steven Horsford (D-NV) are considering legislation to provide clarity on the tax treatment of digital assets.

President Trump is reportedly finalizing an executive order allowing retirement accounts to invest in digital assets. The SEC is reportedly considering an “an innovation exemption” for the development of blockchain-based tokenized securities products, and the prudential regulators released guidance on digital asset safe-keeping.

One issue to watch is the OECD Crypto-Asset Reporting Framework (CARF), a global automatic exchange of information on digital asset transactions for the purpose of tax compliance. If implemented in the U.S., CARF will build on the new digital asset broker information reporting regime, although there are serious questions on the scope of information reporting for some digital asset transactions, such as DeFi. To learn more, check out my Primer on CARF and please don’t hesitate to reach out with any questions.

Read more below

Congress

Hearings

• Last week
  • On July 15, the Senate Agriculture, Nutrition and Forestry Committee held a hearing on Stakeholder Perspectives on Federal Oversight of Digital Commodities.
  • On July 16, the House Ways and Means Oversight Subcommittee held a hearing on Making America the Crypto Capital of the World: Ensuring Digital Asset Policy Built for the 21st Century.
  • On July 16, the House Financial Services Committee National Security, Illicit Finance and International Financial Institutions Subcommittee held a hearing on U.S. Policy on Investment Security.

• This week
  • On July 21, the Senate Agriculture Committee will vote on the confirmation of Brian Quintenz to serve as Chairman and a Commissioner of the Commodity Futures Trading Commission (CFTC).
  • On July 22, the House Homeland Security Cybersecurity and Infrastructure Protection Subcommittee will hold a hearing on Fully Operational: Stuxnet 15 Years Later and the Evolution of Cyber Threats to Critical Infrastructure.

Legislation

• The House passed the Senate’s GENIUS Act stablecoin bill by a vote of 308-122 vote. The President signed the bill into law on June 18. (Text)

• The House passed the CLARITY Act market structure legislation by a vote of 294-134. (Text)

• The House passed the Anti-CBDC Surveillance State Act to prohibit the Federal Reserve from considering a U.S. central bank digital currency passed by a vote of 219–210. (Text)

• The House passed the Consumer Safety Technology Act, sponsored by Rep. Darren Soto (D-FL), to direct the U.S. Consumer Product Safety Commission to explore the use of AI in their work through a pilot program and to direct the Department of Commerce and Federal Trade Commission to study and report on the use of blockchain technology and digital tokens.

• Sens. Ted Budd (R-NC) and Mike Lee (R-UT) introduced the Keep Your Coins Act to prevent the federal government from having access to and surveillance of transactions in the digital asset ecosystem. (Press release)(Text)

• Rep. Nancy Mace (R-SC) introduced a bill to require agencies to update mortgage underwriting programs, guidelines, standards, and systems to require lenders to consider in the mortgage credit evaluation process any amounts a borrower has in any brokerage account associated with a cryptocurrency exchange. (Text)

• Mace also reintroduced the Veterans Affairs Distributed Ledger Innovation Act to conduct a comprehensive study on the use of distributed ledger technology in the Department of Veterans Affairs. (Text)

• Rep. Sean Casten (D-IL) introduced the introduced the Compliant Operations of Decentralized Entities (CODE) Act to creates a public-private partnership with the Department of the Treasury, key federal agencies, DeFi services, and risk management experts to explore integrating anti-money laundering (AML), sanctions, Know-Your-Customer (KYC), and cybersecurity checks into the computer code that underpins DeFi services. The bill also includes language addressing conflicts of interest to prohibit cryptocurrency companies linked to the President and his family, such as World Liberty Financial, from participating in the partnership program. (Press release)(Text)

• Rep. Jake Auchincloss (D-MA) reintroduced the Power of the Mint Act to prohibit the Federal Reserve from issuing a CBDC without congressional authorization, while allowing the Fed to research the issue. (x.com)

Correspondence

• Rep. Eugene Vindman (D-VA) led Democratic colleagues Reps. Derek Tran (CA), John Mannion (NY), Jim Costa (CA), April McClain Delaney (MD), Josh Harder (CA), Susie Lee (NV), Eric Sorensen (IL), Ro Khanna (CA), Mike Levin (CA), Steven Horsford (NV), Salud Carbajal (CA), Kristen McDonald Rivet (MI), Suhas Subramanyam (VA), Nikki Budzinski (IL), Hillary Scholten (MI), Betty McCollum (MN), Janelle Bynum (OR), Eric Swalwell (CA), Adam Gray (CA), Nellie Pou (NJ), Lateefah Simon (CA), Yassamin Ansari (AZ) and Glenn Ivey (MD) in a letter to House Financial Services and Agriculture Committee leadership expressing concern that the CLARITY and GENIUS Act to not do enough to prohibit Presidential conflicts of interest. (Letter)

• Sen. Mark Kelly (D-AZ), Senate Special Committee on Aging Chair Rick Scott (R-FL) and Ranking Member Kirsten Gillibrand (D-NY), and Sen. Ashley Moody (R-FL) sent a letter to Secret Service Director Sean Curran, Secretary of State Marco Rubio, and Secretary of the Treasury Scott Bessent urging a coordinated federal strategy to disrupt transnational criminal networks behind online scams targeting older Americans, including scams involving cryptocurrency. (Letter)(Press release)

Publications

• House Financial Services Ranking Member Maxine Waters (D-CA) published an op-ed in MSNBC entitled “My colleagues in Congress are making a mistake advancing these crypto bills” in which she says, “I told you so. Believe it or not, as an elected official, I hate saying those four words. Not because I don’t like being right, but because when the moment comes to say them, it usually means that something has gone terribly wrong… Now, I’m sounding the alarm about the risks of pending crypto legislation, which will open the floodgates to massive fraud and financial ruin for millions of American families.” (Op-ed)

Events

• House Financial Services Committee Republicans announced the week of July 14 as “Crypto Week.” (Press release)

• House Financial Services Ranking Member Maxine Waters (D-CA) and Subcommittee on Digital Assets Ranking Member Stephen Lynch announced last week was Anti-Crypto Corruption Week to counter Republicans’ announcement of Crypto Week in the House. (Press release)

• At the Senate Banking hearing on From Wall Street to Web3: Building Tomorrow’s Digital Asset Markets, Ranking Member Elizabeth Warren (D-MA) presented a framework for market structure legislation focused on ”five main priorities: upholding securities laws for non-crypto assets, ensuring investor protections, maintaining financial stability, requiring anti-money laundering compliance and closing sanctions loopholes, and preventing public officials – like President Trump – from profiting off of crypto tokens.” (Press release)

Trump Administration

White House

• President Trump signed the GENIUS Act into law in a signing ceremony at the White House on July 18. (Fact sheet)(Video)(x.com)

• President Trump is reportedly expected to sign an executive order allowing retirement accounts to invest in assets like cryptocurrencies, gold, and private equity. (Financial Times)

Prudential Regulators

• The Office of the Comptroller of the Currency, Board of Governors of the Federal Reserve System, and Federal Deposit Insurance Corporation issued a joint statement highlighting risk-management considerations related to holding crypto-assets on their customers’ behalf (“crypto-asset safekeeping”) and discussing existing risk-management principles that apply to crypto-asset safekeeping. (Statement)

Internal Revenue Service (IRS)

• The IRS formally withdrew the December 30, 2024 final regulations on DeFi broker information reporting. (Notice)

Securities and Exchange Commission (SEC)

• The SEC is weighing “an innovation exemption” to provide exemptive relief from existing rules for companies advancing blockchain-based securities. SEC Chair Paul Atkins told reports the relief would be “the most expeditious path to facilitate this activity” while the SEC considers broader rule changes around tokenized assets. (Politico)

National Institute of Standards and Technology (NIST)

• On July 16-17, the NIST Information Security and Privacy Advisory Board met to receive a briefing on NIST’s work in digital ledger technologies and an update on NIST post quantum cryptographic guidance, among other issues.

Noteworthy Quotes and Events

ADMINISTRATION

White House

• White House Press Secretary Karoline Leavitt said in a daily press briefing, “We are definitely receptive to it to make crypto payments easier and more efficient for those who seek to use crypto as simple as buying a cup of coffee. Of course right now that cannot happen, but with the de minimis exemption, perhaps it could in the future, and we will continue to explore legislative solutions to accomplish that.” (Bitcoin Magazine)

• President Trump posted on Truth Social, “HAPPY CRYPTO WEEK! The House will soon VOTE on a tremendous Bill to Make America the UNDISPUTED, NUMBER ONE LEADER in Digital Assets – Nobody does it better! The GENIUS Act is going to put our Great Nation lightyears ahead of China, Europe, and all others, who are trying endlessly to catch up, butt hey just can’t do it. Digital Assets are the FUTURE, and we are leading by a lot! Get the first Vote done this afternoon (ALL REPUBLICANS SHOULD VOTE YES!). This is our moment – Digital Assets, GENIUS, Clarity! It is all part of Making America Great Again, BIGGER AND BETTER THAN EVER BEFORE. We are leading the World, and will work hard with the Senate and the House to get even more Legislation on this passed!”

• On House Freedom Caucus opposition, President Trump said, “I am so tired of making phone calls at 2, 3, 4 o’clock in the morning, getting calls from our great speaker – ‘Sir, we have 12 hard nos,’ They just want a little love. Unfortunately, it’s always the same. It’s always the same 12 people.” (Punchbowl News)

• On House Freedom Caucus’s stance on CBDCs, Trump said, “I was impressed that they knew what the hell it was, to be honest with you. Please sir, please. The central bank digital currency – you have to make sure, sir.’ And I say, ‘What do you know about that?’ It’s amazing, the knowledge that people have gained all of a sudden.” (Punchbowl News)

• White House AI & Crypto Czar David Sacks tweeted, “President Trump keeps delivering historic victories. Today it was the signing of the GENIUS Act, which creates a legal framework for stablecoins. This law will unlock American dominance in the crypto industry by creating clear rules of the road, reversing the regulation-by-prosecution approach of the last four years. It will update archaic payment rails with a revolutionary new payment system based on blockchains. And it will extend US Dollar dominance globally by creating a digital dollar that people all over the world can use. For every digital dollar in a crypto wallet, there will be a traditional dollar reserved in a US bank account, creating trillions of dollars of demand for U.S. Treasuries. This is a huge Promise Made, Promise Kept by President Trump. But if that were not enough, the House has passed CLARITY, the market structure bill, which President Trump has committed to support as it goes to the Senate. President Trump promised to make the United States the Crypto Capital of the World and he has delivered on that promise. Thank you President Trump for your leadership!”

• Executive Director for the President’s Council of Advisers for Digital Assets Bo Hines tweeted, “Thank you, Mr. President. It is the honor of a lifetime to serve in your administration. As a direct result of your leadership, the United States will forever remain the crypto capital of the world.”

Treasury Department

• Treasury Secretary Scott Bessent said about enactment of the GENIUS Act, “Stablecoins represent a revolution in digital finance. The dollar now has an internet-native payment rail that is fast, frictionless, and free of middlemen. This groundbreaking technology will buttress the dollar’s status as the global reserve currency, expand access to the dollar economy for billions across the globe, and lead to a surge in demand for US Treasuries, which back stablecoins. The GENIUS Act provides the fast-growing stablecoin market with the regulatory clarity it needs to grow into a multitrillion-dollar industry. The signing of this bill marks a seminal moment for digital assets and dollar supremacy.” (Press release)

Securities and Exchange Commission (SEC)

• About a potential innovation exemption, SEC Chair Paul Atkins said, “This is a rapidly changing environment, and so as the rules start to change, the pace of innovation is going to pick up. Assets are clearly moving on chain. If it can be tokenized, it will be tokenized.” He added the exemption “can’t undermine the existing system and provide ways to skirt what’s going on.” But also, “We have to be nimble, and we have to provide answers to people. We can’t take a decade to do that.” (Politico)

• Atkins released a statement marking the signing into law of the GENIUS Act, saying, “The GENIUS Act provides necessary guidance for a crucial element of the emerging crypto asset ecosystem. Clear payment stablecoin regulation allows companies and individuals to transact in ways that boost efficiency and lower costs. Payment stablecoins will play a significant role in the securities industry moving forward, which is why I have asked SEC staff to consider whether guidance, rulemaking, or other steps may be helpful to accommodate SEC registrants utilizing payment stablecoins, including for settlement and margining. I invite market participants to engage with the SEC staff on what is needed for our securities markets to take advantage of the GENIUS Act’s full potential.” (Press release)

• SEC Commissioner Hester Peirce released a statement on the GENIUS Act, saying, “The signing of the GENIUS Act into law marks an important milestone in the effort to bring regulatory clarity to crypto—a necessary prerequisite for innovation in our markets to flourish and for the American public to benefit from that innovation. The new law confirms that payment stablecoins are not securities. People have voted with their dollars—privately issued stablecoins already enjoy broad use as a payments mechanism. The GENIUS Act, by putting a regulatory framework around them, aims to protect current and future users and the financial system. The GENIUS Act charges state and federal banking regulators with overseeing payment stablecoin issuers. This clear direction from Congress also should serve as a catalyst for the SEC to provide guidance on how SEC registrants can use—and accommodate their customers’ use of—payment stablecoins. I invite investors and market participants regulated by the SEC to engage with the Crypto Task Force on what the Commission needs to do, in light of the GENIUS Act, to ensure that SEC registrants interacting with payment stablecoins can serve their customers effectively, efficiently, and safely.” (Press release)

CONGRESS

House Passage of Digital Assets Bills

• House Financial Services Chair French Hill (R-AR) said about the CLARITY Act, “Today, the House passed landmark legislation that establishes clear rules of the road by creating a functional regulatory framework for digital assets. This is the pivotal moment for American innovation and a critical step forward in protecting consumers and investors alike. I thank Majority Whip Tom Emmer, House Agriculture Committee Chairman Thompson, Chairmen Steil and Johnson, and all members who joined me in leading these efforts for digital assets over the years. Our work does not stop here, and I look forward to continuing to work with President Trump and partner with my colleagues in the Senate to enact the CLARITY Act.” (Press release)

• Hill said about the GENIUS Act, “Our years of diligent work in Congress to bring clarity to payment stablecoins has reached a historic turning point. President Trump called on Congress to send him landmark legislation to his desk by August and we have delivered. I commend my colleagues, Senate Banking Chairman Tim Scott, Senators Bill Hagerty and Cynthia Lummis, on their leadership and in crafting a strong bipartisan partnership for guiding this legislation across the finish line. I look forward to President Trump signing GENIUS into law in short order and working with our regulators on implementing this important bill to establish U.S. leadership in this space.” (Press release)

• On the Anti-CBDC Surveillance State Act, Hill said, “A fundamental choice is at stake about the future of money in America – a choice between privacy and government control. Whip Emmer’s Anti-CBDC Surveillance State Act safeguards the privacy of Americans by prohibiting the creation of a Central Bank Digital Currency in the United States. I applaud the House’s passage of his legislation and thank him for the work he has done to elevate this issue in Congress.” (Press release)

• In an interview on Face the Nation, Hill said, “The work in the Senate, led by Bill Hagerty and Tim Scott and Cynthia Lummis on the GENIUS Act to create a dollar- backed stablecoin. We’ve heavily influenced that legislation over the two years of previous work by the House. Our CLARITY Act, which sets up the rules the road for what’s a commodity, what’s a security, how to use digital assets, how to store them, how to custody them. These are the rules that will protect consumers, will limit access to our market and our investors from entities outside the United States trying to influence the crypto markets. We have none of that today. What we’ve had is a mismatch of rules by enforcement in the Biden Administration, and I believe the bills will have on the House floor this week will protect investors consumers, and make America as President Trump wants a leader in financial technology and crypto and digital assets innovation.”

• House Financial Services Subcommittee on Digital Assets Chair Bryan Steil (R-WI) said, “It’s not just a win. It’s a dramatic shift from where we were just a year ago — when Gary Gensler and the SEC were running roughshod over the industry — to where we are today.” (Crypto in America)

• House Agriculture Subcommittee on Digital Assets Chair Dusty Johnson (R-SD) said, “If America doesn’t lead in digital asset development, we risk losing innovation to Europe or our adversary China,” said Johnson. “Our CLARITY Act puts in place a strong, commonsense framework to give developers and consumers the certainty they need to thrive in the United States. I’m grateful for the work of my colleagues who helped get this bill across the finish line in the House and I am hopeful the Senate acts soon – there is no time to waste. Today’s bipartisan passage of the CLARITY Act marks a historic step forward in delivering clear rules of the road for America’s digital asset ecosystem,” said Chairman Thompson. “This bill delivers on President Trump’s goal of making the United States the crypto capital of the world by providing the regulatory certainty needed to foster innovation, safeguard consumers, and ensure America leads in the next generation of financial technology.” (Press release)

• House Agriculture Committee Ranking Member Angie Craig (D-MN) said, “Before today, millions of Americans engaged with digital assets without any consumer protections. We only need to look at the meltdown of FTX, which cost retail investors and pension funds across the country millions in losses, to understand the risk of continuing the status quo. The CLARITY Act takes a step in the right direction by allowing the CFTC and SEC to mitigate undue financial risk and protect everyday Americans participating in digital asset markets. This bill is not perfect. There is more work to be done to prevent those in power, including the president’s family business, from the inherent conflicts of interests of participating in the digital asset and other markets while president. I look forward to leading the charge to put strong conflicts of interest and corruption guardrails in place where they do not exist today in the executive branch.” (Press release)

• Rep. Don Davis (D-NC), Ranking Member of the Agriculture Subcommittee on Digital Assets, said, “At present, there is no established market structure to protect consumers or provide clear rules of the road for businesses and innovators. It’s the wild, wild west! Congress must deliver market structure legislation that brings clarity. Millions of Americans are holding cryptocurrency, using it in financial transactions, or using other digital tokens as part of new, innovative technologies and services. There must be consumer protections, and the United States must lead.” (Press release)

• Davis also said, “We must focus on the millions of Americans – customers, investors, and businesses – that should be the focus of our debate. That is why we need a market structure. That is why further delay would only hurt U.S. customers and innovators. I am supporting this legislation because Congress has a responsibility to the millions of Americans investing, using, and trading cryptocurrencies. American customers deserve consumer protections today. We have the opportunity to bring the United States to center stage and be the world leader on digital asset market structure. The longer we wait, the greater the risk to this key industry of going abroad and setting up shop in foreign nations, rather than right here in the U.S., where they want to be. Doing nothing leaves American businesses, customers, the CFTC, and the SEC with the status quo: a lack of clarity, a lack of security, and a lack of accountability. The risk of inaction is too significant. And at a minimum, with this legislation, any President’s activities come under this regulation.” (Press release)

• Rep. Tom Emmer (R-MN) said, “For years, we have worked to educate our colleagues on the dangers of this insidious technology, which would undermine our values and destroy Americans’ right to privacy. President Trump understands this threat and has already issued an Executive Order preventing the development of a CBDC. Now, we must codify it to ensure that the United States’ digital currency policy remains in the hands of the American people so that any future development of digital cash reflects our American values of privacy, individual sovereignty, and free market competitiveness. We are proud to have led this years-long effort, and thank our colleagues for their support.” (Press release)

• Emmer also said, “For too long, America’s digital assets industry has been stifled by ambiguous rules, confusing enforcement, and the Biden administration’s anti-crypto crusade. But President Trump and this Congress are correcting course and unleashing America’s digital asset potential with historic, transformative legislation. President Trump promised to make America the crypto capital of the world, and today we delivered. The GENIUS Act, the CLARITY Act, and our Anti-CBDC Surveillance State Act deliver on the America First digital assets agenda by solidifying the dollar’s dominance as the world’s reserve currency, spurring innovation by creating regulatory certainty with clear market structure, and ensuring that any development of digital money reflects our American values of privacy, individual sovereignty, and free market competitiveness. Together, these three pieces of legislation set the stage for growth, innovation, and prosperity right here in the United States of America. I’d like to thank Chairman Hill, Chairman Thompson, and Chairman Steil, and my friend Dusty Johnson…for their steadfast leadership, and I’m very grateful for that, on digital assets in this great House of Representatives. And I’d especially like to thank the 45th and 47th President of the United States of America, Donald J. Trump. We would not be celebrating these wins today without his vision of America on top in the global digital economy.” (Press release)

• Rep. Byron Donalds (R-FL) said, “Central Bank Digital Currency would give unelected bureaucrats in our federal government absolute control over your money. This is wrong, this is a dangerous threat to freedom, this is un-American, and immediate action had to be taken. I am proud to have joined my colleagues in voting to block this globalist tyranny from infiltrating our nation and ensure there’s a clear framework for the proliferation of digital assets in America.” (Press release)

• Rep. Rudy Yakym (R-IN) said, “As America navigates the rise of digital assets, these bills help ensure the U.S. continues leading the way in cryptocurrency and financial innovation by fostering innovation while setting clear boundaries for regulation and corporate accountability. They seek to create a future where cryptocurrencies, stablecoins, and other digital assets can thrive under thoughtful regulation that protects individual privacy, promotes transparency, and ensures that technological progress does not come at the expense of financial freedom or consumer trust.” (Press release)

• Rep. David Valadao (R-CA) said, “Americans deserve financial privacy, and it’s long past time we put real guardrails in place to protect that right. As more people invest in digital assets, we need a framework in place that encourages innovation, puts consumers first, and keeps the federal government from overreaching into Americans’ personal finances. These bipartisan bills reaffirm our commitment to free markets and individual freedom, and I was proud to support them.” (Press release)

• Rep. Earl“Buddy” Carter (R-GA) said, “We are delivering on President Trump’s call to make the United States the cryptocurrency capital of the world. This new digital arms race is not one we can allow our adversaries, such as China, to win. By providing regulatory certainty, promoting innovation, and fully embracing the digital economy, we will strengthen our nation’s crypto industry and unleash a period of growth and dominance.” (Press release)

• Rep. Randy Feenstra (R-IA) said, “The increasing adoption of digital assets and the use of blockchain technologies can grow our economy and provide American families with a new opportunity to grow wealth. However, under President Biden, digital assets were attacked, which crushed innovation and created uncertainty for businesses. We want digital asset innovation to happen in America and crypto jobs to be created in America – without ceding ground to foreign countries. That’s why I voted for three bills to cement American leadership in the digital asset marketplace and to ban the creation of a central bank digital currency in the United States. Under President Trump, we are protecting Americans’ financial security, investing in our economy, and making America the crypto capital of the world.” (Press release)

• Rep. Tom Kean, Jr. (R-NJ) said, “Clear and responsible rules around digital assets, are essential to helping them reach their full potential while keeping American consumers safe. I am glad to see these bipartisan bills move forward and pass the House with support from both sides of the aisle. They provide the confidence and transparency businesses need to innovate, create new opportunities, and grow—in New Jersey and across the nation. With strong safeguards in place, we can ensure that America remains a global leader in the future of finance and digital payments. I look forward to seeing these bills reach President Trump’s desk and be signed into law.” (Press release)

• Rep. Lisa McClain (R-MI) said, “For too long, innovators and entrepreneurs have faced regulatory uncertainty that stifled growth. That ends now. House Republicans just put America back in the lead on crypto. Each of these bills is a critical step toward securing America’s leadership in the digital economy while providing accountability and oversight for the industry. We’re answering President Trump’s call to make the United States the crypto capital of the world. I commend Chairman French Hill for his outstanding leadership in getting this done. House Republicans are leading the way.” (Press release)

• Rep. Dan Meuser (R-PA) said, “President Trump’s agenda is clear: America will not cede leadership in financial innovation to China or Europe. We will remain the global standard—where freedom, privacy, and innovation thrive.” (Press release)

• Rep. Scott Fitzgerald (R-WI) said, “For too long, our entrepreneurs and investors have faced uncertainty from federal regulators involving digital assets. The CLARITY Act bill finally sets the ground rules, reins in regulatory overreach, and empowers the next generation of digital market builders to thrive here in the United States, not overseas… Stablecoins present a major opportunity to modernize payments. The GENIUS Act strikes the right balance by fostering innovation while putting clear guardrails in place,” said Congressman Fitzgerald. “It’s a serious, thoughtful approach to payments innovation—without handing the keys to Washington bureaucrats… A government-controlled digital dollar is a direct threat to privacy, financial freedom, and the American way of life,” said Congressman Fitzgerald. “That’s why I’m a proud cosponsor of the Anti-CBDC Surveillance State Act, which ensures that no federal agency can use a Central Bank Digital Currency to monitor or control how law-abiding Americans spend their money.” (Press release)

• Rep. Chris Pappas (D-NH) said, “In order for New Hampshire and the United States to remain innovation leaders, we must embrace emerging technologies and establish baseline rules and guardrails for cryptocurrency. The legislation considered today is necessary to begin to provide common-sense safeguards, establish consumer protections, and allow entrepreneurs and small businesses to spur economic growth. Today’s action is just the start of this process. I remain committed to working with regulators, industry stakeholders, and my constituents to ensure that new policies are written in a way that drives innovation, protects consumers, and prevents bad actors and U.S. adversaries from abusing this technology. I am deeply concerned by President Trump’s disregard for existing ethics standards and laws, and I urge Congress to strengthen anti-corruption rules and enforcement that prevent public officials from violating the public trust.” (Press release)

• Rep. Brittany Pettersen (D-CO) tweeted, “Grateful to have had a seat at the negotiating table as a member of USHouseFSC working to establish long-overdue regulations for digital currencies. Today, I voted for the GENIUS Act because as crypto & other digital assets have the potential to become the next financial frontier, we must build a clear regulatory framework for how payment stablecoins operate.  While I’m grateful for how far we’ve come in negotiating this bill, I’m hopeful that the Senate will be able to fix some of the issues. And unfortunately, we also haven’t been able to address the blatant corruption and profiteering of the President yet in this bill.  Congress needs to support innovation to bolster our leadership in the digital assets industry while making sure we are providing the protections Americans deserve.”

• Rep. Josh Gottheimer (D-NJ) said, “One-fifth of Americans now own cryptocurrency, and New Jersey ranks proportionately second nationwide in ownership of cryptocurrency. While cryptocurrencies have tremendous economic potential, we need clear rules of the road to crack down on snake oil salesmen, protect investors, and ensure America leads the way, not other nations, in this space. The GENIUS and CLARITY Acts aren’t perfect, but my bipartisan legislation delivers critical consumer protections, while ensuring that American entrepreneurs can continue to lead in the cryptocurrency space.” (Press release)

• Gottheimer also said, “I told a lot of my colleagues — wouldn’t you rather have some regulation of the Trump coin than no regulation of the Trump coin. Doing nothing to me is a bad answer, and I know some of my colleagues think that’s the best answer. I think that’s the wrong answer.” (Crypto In America)

• Rep. Nikki Budzinski (D-IL) said, “As a Member of the House Agriculture Committee’s Subcommittee on Digital Assets, I’m proud to have had a seat at the table for the negotiations that culminated in legislation to create a digital asset market structure, otherwise known as the CLARITY Act. Through my position on the Committee, I was successful in advocating for the inclusion of robust consumer protections – critical safeguards that will shield hardworking Americans against manipulation and abuse in the crypto market. Without these measures, the space would remain a dangerous ‘wild west,’ exposing people to serious risk and leaving them without recourse in the face of market failures like the collapse of FTX. In Congress, my duty is clear: to ensure the financial system works for consumers, not against them. This is why I believe a delay in passage would only mean bigger harm to those in the 13th District. I recognize this bill isn’t perfect. I pushed diligently to see it include stricter oversight measures against President Trump’s involvement in the crypto arena. The release of a Trump coin is a clear, self-serving conflict of interest that should alarm every single Member of Congress, both Republican and Democrat. That’s why I am a proud cosponsor of the MEME Act, to ban a President or Member of Congress from issuing a meme coin. I will continue fighting to see this legislation reach the House floor and call on the Senate to include it in the final version of the bill. This bill marks a decisive and essential step forward in protecting American consumers. Every day of inaction would have left families more exposed to unfair, deceptive, and predatory practices. By creating a clear and accountable market framework, we’re not just tightening oversight – we’re defending the financial well-being of millions. This legislation lays a strong foundation for long-term consumer protection and a more secure financial future for all Americans.” (Press release)

• Rep. Gabe Vasquez (D-NM) said, “These bipartisan bills, while not perfect, add important and much-needed regulation and guardrails to the digital asset industry. We need to continue working to develop clear, commonsense rules that protect consumers, promote innovation, and prevent fraud and money laundering. New Mexicans deserve transparency, accountability, and equal access to new financial tools.” (Press release)

• Rep. Shri Thanedar (D-MI) said, “A quarter of the city of Detroit’s residents are either unbanked or underbanked. It is clear that the current financial system does not work for my constituents, and we need to support innovative solutions, such as cryptocurrency and blockchain technology. These innovations will allow more Americans to access the financial system, working to bridge that financial divide once and for all. While these bills are not perfect, and I am deeply concerned about President Trump’s use of cryptocurrency as a way to solicit bribes from foreign governments, we cannot let perfection be the enemy of the good. From adding important protections for consumers to implementing a strong regulatory framework, these bills will help keep crypto innovators in the United States and maintain America’s edge in emerging technology. I am grateful to the bipartisanship of our lawmakers who passed these bills through the House. I see this legislation as another step toward a more equitable financial system that meets the needs of all of my constituents and every American.” (Press release)

• Rep. Jim Himes (D-CT) said, “Today I voted to support the GENIUS Act, which improves on the status quo by establishing market regulations for stablecoins. It is far from a perfect bill, but it is an important step towards protecting consumers and bolstering our national security. For those same reasons, I had hoped to support CLARITY Act. However, I cannot in good faith vote to advance a bill that allows Donald Trump to continue grifting off the American people through cryptocurrency schemes. It is common sense that nobody involved in the regulation of digital assets should be able to profit off them, particularly a president who has flagrantly ignored the Constitution and raked in hundreds of millions of dollars by using his official capacity to promote a personal meme coin. I appreciate my Republican colleagues who engaged in good faith negotiations to better the CLARITY Act, but their refusal to include language to eliminate this obvious conflict of interest forced my no vote today.” (Press release)

• Rep. Debbie Wasserman Schultz (D-FL) said, “Today, I was proud to support the GENIUS Act as a significant first step towards responsible and effective regulation of the cryptocurrency industry. Although I was unable to support the CLARITY Act at this time, I hope that the bill that returns from the Senate will incorporate the necessary changes and safeguards that would enable me to support it.” (Press release)

• Rep. Lori Trahan (D-MA) said, “Crypto is here to stay. That’s why we can’t afford to wait any longer to establish guardrails that protect consumers and bring long-overdue transparency to this rapidly evolving industry. I voted YES on the GENIUS Act because it’s a meaningful step toward ensuring that Americans who choose to invest in stablecoins are protected from fraud and abuse. This bill is far from perfect and more must be done to confront the blatant corruption we’re seeing from Donald Trump, who has shamelessly used his position as President to line his pockets with millions in crypto. I’ll keep fighting for strong anti-corruption legislation to stop the kind of self-dealing that’s happening in plain sight. I voted NO on the CLARITY Act. I support a regulatory framework that distinguishes between digital assets, fosters innovation, and promotes responsible growth, but this bill simply doesn’t get us there. It’s riddled with loopholes and carveouts that leave everyday investors exposed to the kinds of volatile, often fraudulent crypto schemes we’ve seen too regularly with memecoins. It fails to strike the right balance between innovation and consumer protection. As the bill moves to the Senate, it’s critical that our colleagues strengthen it, starting with ensuring that states like Massachusetts retain the authority to crack down on fraud and abuse. I believe we can support innovation in the crypto space while standing firmly against the predatory practices that have taken root in the absence of meaningful oversight. The future of digital assets should be built on transparency, accountability, and protections for everyday investors. That’s the balance I’ll keep fighting for.” (Press release)

• Rep. Marjorie Taylor Greene tweeted, “This week Congress passed crypto legislation. The American people hardly have any idea what it is, what it means, and what passed. 1. GENUIS ACT – I voted NO. It passed the Senate and the House and will be signed into law today. This bill regulates stablecoins and provides for the backdoor Centralized Bank Digital Currency. The Federal Reserve has been planning a CBDC for years and this will open the door to move you to a cashless society and into digital currency that can be weaponized against you by an authoritarian government controlling your ability to buy and sell. Do you actually trust your government to never do that to you? I don’t. 2. Anti-CBDC Surveillance State Act – I voted YES. This bill passed the House but we were told all week that it will not pass the Senate because the Senate does not have any path at all to get 60 votes to ban a CBDC. This bill prohibits Federal Reserve Banks from issuing a Central Bank Digital Currency. It’s a good bill and protects your money, but will die in the Senate. However, this should be people’s highest demand. 3. Clarity Act – I voted YES for self custody protections. This bill passed the House and will likely get some changes in the Senate then have come back to the House for another vote before it can be signed by the President and become law. This bill establishes a detailed regulatory framework for digital assets and allocates authority between the Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC). The most important thing that needs to remain is protecting people’s self custody of their digital currency. This is yet to be seen and should be demanded. I will vote NO when it comes back if self custody protections are taken out. In 1971, we were taken off the gold standard to cash, which was a ridiculous decision and has weakened our dollar tremendously. Now we are on the path to move from cash you can hold in your hand, hide from the government, and save for yourself and your family to a digital currency system where your ability to buy and sell will ultimately be held in digital accounts that you can not tangibly hold yet are at the will of those who control the banks and the government.”

• Rep. Chip Roy (R-TX) said, “Today, House Republicans took a significant step forward to provide a market framework to ensure that Americans can innovate with cryptocurrencies. I supported H.R. 3633, the CLARITY Act, to allow such innovation without fear of an uncertain regulatory environment. I was most proud to support H.R. 1919, the Anti-CBDC Surveillance State Act – which will guarantee that Central Bank Digital Currencies (CBDC’s) are not permitted in the United States. CBDC’s would represent a radical attack on the privacy of Americans and would allow government and financial institutional unchecked power over our bank accounts, and importantly, our freedom to purchase and move about unimpeded by government surveillance. No government power should be able to limit the ability of a citizen to transact pre-emotive lay based on the policy whims of any particular party in power. The Senate should pass this and send it to the President’s desk immediately. Regrettably, I opposed S. 1582, the GENIUS Act because it was passed without the necessary protections to prevent Central Bank Digital Currencies, and I do not believe we should proceed with building out the necessary structures for stable coin or the development of market structures (CLARITY) without the protection against CBDC. Innovation and prosperity is important – but freedom is the centerpiece of both. We should demand freedom first.” (Press release)

• Rep. Bobby Scott (D-VA) said, “Cryptocurrency must be meaningfully regulated to protect consumers and prevent systemic risks to the financial system. Any legislation governing digital assets should also require crypto operators to have a fiduciary responsibility to consumers. These bills fall short. They lack the reporting requirements and regulatory oversight necessary to protect consumers, and they create an unnecessary risk of taxpayer-funded bailouts. The regulations will create a veneer of legitimacy when the assets may have little underlying value. The regulations also fail to prevent the use of digital assets in money laundering or other illicit activities. It is noteworthy that these bills prohibit members of congress and senior executive branch officials from creating a stablecoin, yet curiously provide no limits on the president or vice president. If a regulatory framework is going to be established, consumers should be able to make investments in cryptocurrency and have confidence that they are not being ripped off.” (Press release)

• House Financial Services Chair Maxine Waters (D-CA) said, “The Republican crypto bills we will consider will create giant loopholes in our federal financial laws that put consumers and investors at risk, in the name of innovation. These bills would increase the chance of another costly financial crisis, like the one in 2008 that led to trillions of dollars of wealth being wiped out, in the name of innovation… Now, we’ve been discussing a lot about cryptocurrency. We’ve talked about two different acts, the ‘CLARITY Act’ and the ‘GENIUS Act.’ We’ve talked a lot about the intricacies of crypto, but the public does not understand all of this because the big issue is the Big Boys literally own all of the information. They’re the issuers etcetera, etcetera. It’s time for the United States government to take charge. And our central bank must be involved in the study and the research, so that we don’t issue crypto or anything else without the federal government knowing or being in control.” (Press release)

• Waters also said, “Republicans are pushing two particularly dangerous bills that will unleash risky cryptocurrency into our mainstream financial system without proper guardrails to protect hard-working Americans. If that sounds familiar, it’s because it is. The rise of complex, poorly regulated financial instruments was precisely what sparked the 2008 crisis.” (Press release)

• House Financial Services Subcommittee on Digital Assets Ranking Member Stephen Lynch (D-MA) said, “As a committee, we’ve learned that there is no legitimate use case for crypto currency as of yet, unless you count the illegal practices of every single every single ransomware heist that has been affected upon US businesses had been fueled and facilitated by cryptocurrency. That should that should tell you something right there. It’s a highly risky and volatile product that has no business in a functioning and well-regulated financial system this entire industry is. Is a scam designed to make a handful of wealthier early investors rich, including the president and his cronies. The value of crypto currencies is based on pure speculation. It’s what the next fool believes.”

• Rep. Bill Foster (D-IL) said, “Congress has a responsibility to modernize how we regulate digital assets, but the CLARITY Act misses the mark. It carves loopholes so Trump can continue to profit off his meme coin, while tying regulators’ hands when it comes to policing market abuses, conflicts of interest, and illicit finance.” (Press release)

• Rep. Ayanna Pressley (D-MA) said, “This bill gives a green light to the self-enriching crypto schemes we’ve seen where officials at the highest levels of power, including in the White House, have generated hundreds of millions of dollars in personal profit. The American people deserve crypto legislation that is fair, transparent, and accountable—not a bill that opens the floodgates to conflicts of interest and weakens investor protections.” (Press release)

• Bonnie Watson Coleman (D-NJ) said, “These bills are a scam to help President Trump cash in on his crypto dealings. Trump has been lobbying members of Congress to pass these laws to make himself and his family richer while he’s President. Since launching his crypto ventures, President Trump and his family have gotten half a billion dollars richer off their schemes by selling access to the President. A public office should never be for sale. And the American people should not have to compete with billionaires and corrupt foreign governments to have their voices heard. All the same lobbyists and corporate special interests who’ve crept into our political process now have an easy way to funnel unlimited amounts of cash directly to the President of the United States. So whenever you see a new headline about Donald Trump’s crypto ventures, remember this: It’s just another way he’s abusing the presidency for his own gain.” (Press release)

• Rep. Sylvia Garcia (D-TX) said, “I voted NO on both the CLARITY Act and the GENIUS Act because these bills are nothing more than a license for corruption and a gift to Donald Trump and his crypto cronies. They’re RINOs–Regulation In Name Only. After the 2008 financial crash, Congress stepped in to stop Wall Street from gambling away Americans’ life savings. We promised: never again. And yet, here we are. These bills are packed with loopholes that allow the Felon in the White House and his family to profit in secret, dodge ethics rules, and take money from foreign actors, all while pretending to ‘regulate’ the crypto industry. They shield Trump’s crypto empire from oversight, exempt shady platforms from anti-money laundering laws, and put investors, consumers, and our national security at risk. In my district, families are already struggling to pay for groceries, health care, and rent. Trump’s Big Ugly Law will only make it worse. And now his allies are handing the crypto industry a blank check—while refusing to do a thing about skyrocketing health care costs or helping make life affordable for working families. That’s why I voted NO and will continue to fight back against Trump’s corrupt agenda with everything I’ve got.” (Press release)

• Rep. Shontel Brown (D-OH) said, “The time to act on cryptocurrency and digital asset regulation is long overdue. We need clear, consistent, and forward-looking regulation that protects consumers, supports innovation, and gives businesses the certainty they need to grow responsibly. I would strongly support a smart and sound policy framework that protects consumers and allows innovation to benefit everyone. However, innovation without strong guardrails invites exploitation. I voted against the GENIUS and CLARITY Acts because they fail to adequately address abuse and instead open the door to corruption. At a time when the current occupant of the Oval Office is personally benefiting from crypto and meme coin ventures, these bills do nothing to close conflict of interest loopholes. They also fall a bit short on consumer protections and the tools to enforce them.” (Press release)

• Rep. Melanie Stansbury (D-NM) said, “So let me start out by saying a simple truth that I think the American people understand. The system is rigged, and the way the system gets rigged is that rich people rig the system for themselves, and that is exactly what’s happening today with this bill and the three sets of crypto bills that are before Congress, the rich get richer, the poor get poor, and the way they do that is by lobbying members of Congress, giving them campaign donations, mobilizing people in their districts to vote for scams like this bill.”

• Senate Banking Chair Tim Scott (R-SC) said, “For the first time in history, Congress has passed bipartisan digital assets legislation through both the Senate and the House. The GENIUS Act marks a major milestone in securing America’s leadership in payments innovation while protecting consumers and strengthening our national security. This bill is critical to delivering on President Trump’s agenda to cement the United States as the crypto capital of the world, and I look forward to taking a similar approach to get digital asset market structure legislation signed into law. Digital assets and blockchain technology are here to stay, and it’s past time our regulatory framework acknowledges this reality.” (Press release)

• Rep. Rashida Tlaib (D-MI) tweeted, “In 2024, nearly HALF of corporate $$$ in federal elections came from crypto companies. Today’s industry-friendly crypto bills lack basic consumer protections, expose our economy to profound risks, and fail to address President Trump’s staggering crypto corruption. I voted NO.”

• Rep. Ilhan Omar (D-MN) tweeted, “I voted NO on the three crypto bills. These bills are not about helping consumers or promoting innovation. They are about protecting the profits of crypto insiders and billionaires while gutting the guardrails that protect the livelihoods of working people. The passage of these three disastrous bills allows Donald Trump and his wealthy backers to write the rules they want for their own gain. It is not surprising that Trump already enriched himself with shady crypto schemes, including a memecoin scandal that handed him the largest personal payday of any president in history. Not only will these bills allow Trump to further enrich himself, but they will also weaken basic enforcement against fraud and scams, erode consumer and investor protections, and puts our financial system at risk. There is no doubt that these bills will harm many people – from seniors with pensions, families saving for retirement, and workers who depend on a stable economy – in order to pave the way for more grift at the top. This will put corporate crypto interests over the financial security of everyday Americans. The Crypto industry has spent tens of millions to buy influence and now we’re passing three bills crafted by and for the crypto industry. This is why we people feel like the rules are rigged and why we need to get big money out of politics. Crypto shouldn’t be a reckless playground for billionaires and politicians to enrich themselves at the expense of everyone else. We need strong, clear rules to protect the wallets, savings, and futures of the American people. It is another dark day in the People’s House.”

• Sen. Bill Hagerty (R-TN) said, “The most important thing to understand is the fact that the United States is turning the tide. The Biden administration did everything it could to wage war on the crypto industry in America, to shove that sort of innovation offshore. We’ve taken major steps with this legislation to bring it back, to create a regulatory framework that actually works here in America. I’m the author of the stablecoin legislation. I’ve had great assistance from our chairman Sen. Tim Scott, from Sen. Cynthia Lummis, and members of the Banking Committee. [Representative] French Hill and his team in the House have been absolutely wonderful to work with. And we’ve put together something on stablecoins that the president will be ready to sign at the end of this week. Stablecoins are a new payment system. It puts us into the digital asset arena, and it takes us off of a system that was designed in the 1970s and 80s– very clunky, sometimes taking five to 10 days to clear– and moves it onto the blockchain. It’s far more efficient, far more secure, and it sets the groundwork for the entire crypto industry to thrive here in America. That’s what the Clarity Act is about. That’s what the Anti-Central Bank Digital Currency Act is about. It’s moving this technology forward here in America and making certain we own this innovation going forward.” (Press release)

• Sen. Kirsten Gillibrand (D-NY) said, “House passage of the GENIUS Act is a historic milestone in our bipartisan effort to regulate stablecoins. This bill will empower American businesses and consumers and enable them to take advantage of the next iteration of financial innovation. A result of serious bipartisan negotiations, the GENIUS Act will protect consumers, enable responsible innovation, and safeguard the dominance of the U.S. dollar. This bill targets illicit finance, places limitations on Big Tech, puts in place ethical guardrails, and strengthens national security. The GENIUS Act is landmark legislation that will help maintain American global competitiveness, now and into the future.” (Press release)

• In a speech before the Exchequer Club, Sen. Elizabeth Warren (D-MA) said, “Into this dangerous stew, Donald Trump and Republicans are tossing one more economic grenade. They, with the help of many Democrats, are jamming through industry-designed cryptocurrency bills that will produce billions of dollars for the President and his family. In addition, the bills lack adequate guardrails to protect consumers, to protect our financial system, or to protect our national security. The GENIUS Act, legislation to bring stablecoins into the traditional financial system, passed the Senate despite warnings from many experts, including Brooksley Borne, who warned that loosening regulations last time around could lead to a crash— exactly like it did in 2008. And now Congress is considering crypto market structure legislation that could sideline the SEC in overseeing the stock market, effectively destroying the $120 trillion golden egg that is America’s capital markets. Each of these actions significantly increases risk in the financial system; together they multiply the dangers. Over time, a system that permits companies to profit from fraud and false bookkeeping and getting people signed up for loans they cannot possibly afford will weaken until, like we saw in 2008, the whole structure collapses—and takes millions of families with it.” (Press release)

• Sen. Pete Ricketts (R-NE) said, “The GENIUS Act is revolutionary for stablecoins. It protects consumers while promoting innovation and opportunity,” said Ricketts. “It prioritizes national security and advances the U.S. dollar. Nebraska’s a major innovator in the stablecoin space and my amendment will give priority to states like ours when becoming certified. I am very happy that President Trump has signed this legislation into law. I look forward to working with Chairman Tim Scott, Senator Cynthia Lummis, and Senator Bill Hagerty on a digital asset market structure bill next.” (Press release)

Senate Agriculture Hearing

• In his opening statement, Chair John Boozman (R-AR) said, “We draw inspiration from the agency’s past regulation of the swaps market as we entrust the CFTC and the SEC with the authority to collaboratively regulate the digital asset markets. We must act expeditiously to develop a comprehensive regulatory framework for the trading of digital commodities, but we must ensure we get this right. We must also support our colleagues in the Banking Committee as they work on a regulatory framework for the trading of digital assets in securities transactions, as with the CFTC and the SEC. While there are clear lines of jurisdiction between our committees, we are committed to working collaboratively on a comprehensive bill for the digital asset marketplace. I, alongside Ranking Member Klobuchar and all members of the committee, will work in a transparent and bipartisan manner to develop this regulatory framework. This task requires hearing from everyone who wants to be heard, and for all committee members to work together to create a framework that allow for liquid and resilient spot digital commodity markets, strong retail protections, and rules that give American businesses confidence to continue to innovate and grow in the United States.”

• In her opening statement, Ranking Member Amy Klobuchar (D-MN) said, “If Congress gives the CFTC the authority and the resources to step in and oversee these spot markets, it would be well positioned to do so given its existing role, and that role is overseeing the digital commodity derivative markets and the enforcement authority it has exercised over the underlying spot markets. Providing regulatory certainty and oversight to these markets can encourage responsible innovation and the adoption of new technologies. At the same time, we have to ensure a level regulatory playing field so that crypto market participants are subject to standards as rigorous as those applied to traditional financial institutions. If Congress is to do this, it must do so without compromising on crucial customer protections, with safeguards to prevent illicit finance and with provisions to address market integrity concerns. It also means putting in place guardrails to address conflicts of interest in the digital asset sector, preventing exchanges and issuers from using their position to favor affiliated actors or exploit customers. And if Congress is going to establish a new financial regulatory framework, it must strengthen our system, not weaken it, by putting safeguards in place to prevent corruption or self-dealing by federal officials, including those in positions of power who might sponsor issue or profit from digital tokens.”

House Ways and Means Hearing

• In his opening statement, House Ways and Means Subcommittee on Oversight Chair David Schweikert (R-AZ) said, “While much of today’s hearing will be folks focused on examining this evolving industry and discussing potential policy solutions with the Committee within the Committee’s jurisdiction, it also is important to note the complex relationship between digital assets traditional assets, and how we equalize and create a sense of fairness in its tax and our side of the rules so we don’t create also artificial arbitrage. Even today, more and more companies are exploring ways to use crypto assets in their treasury management and their hedging book. This is something we have a great interest in, and so help us understand both those management strategies and how they will also fit into a tax regime. You know, currently the Internal Revenue Service Code defines crypto as a property, not currency. However, there are very few additional rules specific to digital assets, leaving many stakeholders often confused when it comes to the tax complications.”

• In her opening statement, Ranking Member Terri Sewell (D-AL) said, “I agree that Congress needs to examine digital assets as a whole and look forward to discussing the tax treatment of digital access, access assets, including cryptocurrency, with you all today. I think it’s really, really important that we as Americans lead in this area. I can tell you that over the 14 years that I have been in Congress, the rate in which digital assets have gone from niche blog posts to the front page of global publications is something to behold. It is undeniable that digital assets, including cryptocurrency, have transformed digital payment and investment as digital assets take a larger role on the world stage, it is important that we protect consumers, we remove bad actors, and that we ensure fair tax treatment for all.”

• Rep. Max Miller (R-OH) said, “In recent years, Congress has made meaningful progress on a market structure and stablecoin legislation, bills like the genius Act and the digital asset Market Clarity act will help clearly define the roles of the SEC and CFTC establish rules for digital asset trading platforms protect consumers and promote blockchain innovation right here within the United States. However, the tax code is seriously lagged behind. Our laws were written for the traditional analog economy. It’s time to bring them into the digital era. That’s why I’m proud to be leading efforts on a comprehensive tax framework for digital assets, one that will provide a long overdue clarity for consumers, innovators and investors alike. In the coming weeks, I plan to release draft legislative text developed in collaboration with my colleagues and stakeholders across the ecosystem. I hope this legislation will ease the reporting burden for de minimis transactions, modernize wash sale rules and mark to market elections for traders and institutions, provide clear guidance on staking, mining and income recognition and improve the treatment of charitable contributions, lending and qualified retirement plans. In short, we need parity and clarity. We need a tax code that keeps up with innovation and not one that chases it overseas. Providing the certainty won’t just improve compliance, it will unlock investment, create jobs and expand access to next generation financial infrastructure. We must get this right, not only for innovations sake, but for the American leadership in financial technology. I call on my colleagues on this committee to join me in this effort on behalf of the millions of Americans investing in these assets of tomorrow today.”

• Rep. Steven Horsford (D-NV) said, “As many of my colleagues know, I have long supported the adoption of crypto currencies and blockchain technologies since my time here in Congress. Why? Because these are tools that can help enable financial inclusion and equity. In Nevada, over 6% of the residents have no bank account. In the United States, 5.6 million households have no checking or savings accounts. Without bank accounts, it’s nearly impossible for individuals to save money securely, let alone invest leaving them vulnerable in emergencies. That’s why it’s important that when we see these new opportunities like crypto, that we push for full financial inclusion, as with any emerging industry, Congress has a duty, though, to evaluate what truly serves the public, not just what boost big portfolios or billionaires. So let’s be clear, the status quo isn’t stopping Donald Trump or other scammers. We must have regulatory frameworks that allow for safe experimentation while keeping bad actors and scammers out. This week is a good start with the crypto bills that are on the House floor, but true policy making means that this is only the start. Greater access to these technologies must be balanced with sufficient standards, guardrails and protections to allow for Responsible scaling growth and opportunities. That’s why I’m urging my colleagues to work with all of us here. I plan to lead an effort to address the taxation of crypto currencies, and I urge my Republican friends to join me, the American people need to know that we are united to make sure that we get these policies right. We’ve already seen what happens with partisan only approaches.”

Miscellaneous

• On what interests him about digital assets, House Financial Services Chair French Hill (R-AR) said, “It was actually the programmability of the blockchain operating system and writing applications there to remove costs, to make it easier to improve documentations, to reduce fraud, to drive cost out of a system of a traditional analog paper-based system. This allows us to replace those actual agency steps, producing certainly decentralized peer-to-peer activity, a better operating system, better documentation, less fraud, more clarity, more programmability.” (Press release)

Highlights of the Week

• On July 23, the Blockchain Foundation is hosting a bipartisan briefing on Crypto for Economic Empowerment & State of Crypto Policy.

What I’m Reading This Week

• Policies to Unlock Bitcoin as Everyday Money, Block concludes, “Bitcoin isn’t about theory — it’s about solving real problems. Its decentralized and borderless nature provides financial autonomy, making it viable as both a store of value and a medium of exchange. Whether it’s sending value across borders, or seamlessly transacting with small businesses, bitcoin has the real-world potential of modernizing payments and addressing everyday financial needs. Congress has the opportunity to support practical innovation by updating laws that recognize bitcoin’s potential to be used as everyday money — empowering Americans to transact freely and affordably. It’s time for Congress to pass a comprehensive federal licensing framework and unlock a tax barrier for small-dollar bitcoin transactions to be a viable medium of exchange.”

About Zero One Strategies

Zero One Strategies is a boutique government relations practice dedicated to navigating the complex landscape of U.S. federal policy in emerging technologies. As advancements in technology continue to outpace regulatory frameworks, Zero One Strategies aims to provide strategic guidance and bipartisan advocacy for innovators and businesses operating at the forefront of technological development.

The practice focuses on key areas such as artificial intelligence, blockchain, decentralized technologies, cybersecurity, data, and digital infrastructure, as well as the multiple policy issues impacting these sectors, including tax and financial services.

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